FxWirePro: NZD/USD gains some upside momentum, but bearish outlook remains

• NZD/USD edged higher on Thursday as greenback  weakened on expectations of Fed rate cuts and rising U.S.-China trade tensions.

• Fed Chair Powell eased investor concerns, keeping the door open for another rate cut, citing a sluggish U.S. labor market with low hiring and firing.

• Investors are focused on U.S.-China trade tensions, as U.S. officials criticize China’s expanded rare earth export controls, warning of global supply risks.

• NZD/USD pair is unlikely to see substantial gains in the near term, as the Reserve Bank of New Zealand’s dovish monetary policy reduces the appeal for kiwi dollar.

•  Immediate resistance is located at 0.5787(SMA 20), any close above will push the pair towards 0.58271(50%fib).

•  Support is seen at 0.05700 (61.8%fib) and break below could take the pair towards 0.5645(Lower BB).

 Recommendation: Good to sell around 0.5750 with stop loss of 0.5800 and target price of 0.5690